TUNIS, TUNISIA — Palestine Liberation Organization leader Yasser Arafat led thousands of mourners Saturday at the funeral of 17 Palestinians killed in the Israeli air raid on PLO headquarters near Tunis.

In Paris, some 2,000 protesters staged a parade to protest the attack. A similar demonstration was held in the Swiss capital of Bern.

The mass funeral, which was also attended by senior Tunisian officials, came a day after the U.N. Security Council passed a resolution condemning Israel for Tuesday's attack.

PLO chief Yasser Arafat, who was out jogging during the attack and was away from the headquarters, addressed the crowd in a choked voice, saying the attack had ''mixed Palestinian and Tunisian blood.''

''I especially regret that Tunisia was the victim of the Israeli attack,'' he said. ''This is not the first time for us, we are used to it.''

At least 73 people died and 100 were injured in Tuesday's raid, carried out by eight Israeli F-15 jet fighters. Israel said the attack was in retaliation for the Yom Kippur killings of three Israeli citizens in Cyprus.

The mourners, many of them women and children, jammed streets near the leveled headquarters as uniformed Tunisian soldiers and PLO fighters marched solemnly past carrying 17 coffins aloft.

Each casket was draped in a Tunisian and Palestinian flag. Four of the dead, whose bodies were too mutilated to be identified, were placed in coffins marked ''unknown martyr.''

A band played martial music as the coffins were lowered into the ground. Groups of mourners sang songs on street corners or chanted rhythmic slogans in support of Arafat and Tunisian President Habib Bourguiba.

''We Moslems do not cry at funerals,'' said a Tunisian who attended the ceremony.